What is the Automated Screening Tools (ASTs)

What is an Automated Screening Tools (ASTs)

Automated Screening Tools (ASTs) are software systems designed to streamline the screening process within large financial institutions, replacing manual screening methods. Primarily, ASTs facilitate screening against sanctions lists, generating hits that are consolidated into alerts.

What Does Automated Screening Mean?

Automated screening refers to the use of software systems to automatically compare customer data or transactions against various lists, such as sanctions lists, politically exposed persons (PEPs) lists, and other watchlists. This process enhances efficiency and accuracy compared to manual screening.

What Are Screening Tools Used For?

Screening tools are employed to identify potential risks associated with customers or transactions. These tools are used for:

• Sanctions screening: Identifying individuals or entities subject to sanctions.
• PEP screening: Identifying politically exposed persons who may pose a higher risk of bribery or corruption.
• AML screening: Identifying suspicious activities that may indicate money laundering.
• KYC/CDD: Assisting in the Know Your Customer and Customer Due Diligence processes.

What is a Validated Screening Tool?

A validated screening tool is one that has been rigorously tested and verified to ensure its accuracy and reliability. Validation typically involves comparing the tool's results against known datasets and benchmarks. This ensures compliance with regulatory standards and minimises the risk of false positives or negatives.

How to Pass ATS Screening?

"ATS screening" usually refers to Applicant Tracking System screening, used in recruitment. However, regarding financial screening, to ensure your client data passes AST screening, you need to ensure accurate data entry, and up-to-date records, and utilise a robust AST that is kept up to date with current sanctions, and PEP lists. Robust KYC and AML procedures are also vital.

Find out more about our Watchlist tool.

ASTs are crucial in the fight against financial crime, and AML alerts are a vital part of the process. Services such as SmartSearch can greatly enhance the effectiveness of ASTs, by providing the data to run through the tool.